Funds managed by Värde Partners finalized the acquisition of Boscolo Hotels group for a 150 million euro equity valye or a 500 million euros enterprise value, the Boscolo family announced some days ago, adding that the family will maintain the property of Boscolo and Exedra brands (see here the press release). Varde has been in exclusive talks with the Boscolo family since last January (see here a previous post by BeBeez).
The Boscolo and Exedra brands will be given in franchising to Värde Partners as well as the management of Boscolo Tours, the Étoile di cucina hotel, an hotel in Nice and an hotel in Lione. The acquisition is instead related to a portfolio of nine luxury hotels of which 8 in direct property (in Rome, Venice, Florence, Nice, Budapest and Prague) and one lease in Milan.
The deal sees Värde Partners to buy the entire capital of B5 srl, the parent company of Boscolo group, and the reimbursement of the whole banking debt so that the group will be able to close talks with 23 banks (with Unicredit, Mps, Banco Popolare e BnlBnp Paribas among them) after last June it had breached covenants on its 320 million euros debt (see here a previous post by BeBeez). Since then Unicredit and Banco Popolare sold their credits to Varde itself (240 million euros gross value for a 210 million euros net price). While last December Carde was said to have signed a agreement with Mps too.
The Boscolo family was supported in the deal by Mediobanca as financial advisor, while Studio Lombardi Segni e Associati, Studio Mariconda Associati, Dentons, DLA Piper and Studio Legale Treviso Campoccia were legal advisors and Cornelli Gabelli e Associati supported on fiscal issues.
Boscolo group reached 180 million euros in revenues in 2016, with 33 million euros in ebitda (in 2013 it posted 10 millions in ebitda). The hotellerie division posted 105 million euros in reveneus with a 28 million euros ebitda.